Using the cost and revenue information shown for DeKalb, Inc., determine how the costs, revenue, and cash flow items would be affected by three possible exchange rate scenarios for the New Zealand dollar (NZ$): (1) NZ$=$0.55, (2) NZ$= $0.60, and (3) NZ$=$0.65. (Assume U.S. sales will be unaffected by the exchange rate. REVENUE AND COST ESTIMATES: DEKALB, INC. (IN MILLIONS OF U.S. DOLLARS AND NEW ZEALAND DOLLARS) U.S. Business Sales U.S. New Zealand Total Cost of Materials U.S. New Zealand Total NZ$200 = NZ$700 = $ $ $ Assume that NZ$ earnings will be remitted to the U.S. parent at the end of the period. Ignore possible tax effects. Round your answers to the nearest dollar. NZ$ = $0.60 +A $ NZ$=$0.55 $ 750 150 Sales Cost of Materials 100 50 Operating Expenses Interest Expense Cash Flow NZ$200 = NZ$700 = $ $ $ $ $750 150 100 $ $ 50 $450 750 150 100 New Zealand Business NZ$200 50 700 NZ$500 NZ$200 = 0 NZ$700 = NZ$=$0.65 $ $ $ Operating expenses Interest expenses Cash flow The preceding table shows that DeKalb Inc. is adversely affected by a -Select- New Zealand dollar value. $ 750 150 100 50

The preceding table shows that DeKalb Inc. is adversely affected by a NeW Learang cuasi varus